Know What You're Owed

Feb. 22, 2009— -- As the number of out-of-work Americans continues to rise, everyone should know the basics about unemployment insurance.

Unemployment benefits are administered by each state, so there's some variation across the country, but there are a few consistent requirements to determine eligibility:

1) Did your employer pay into the unemployment fund on your behalf?

The vast majority of employers do this, so you're probably covered here -- but churches and other religious organizations, for example, do not.

2) Did you earn enough money when you were working?

If you were out of work for a year, then started a job, but lost it a short time later, you probably didn't earn enough money in what's called your "base period." The state will look at how much you earned during some period within the last 12 months to determine if -- and how much -- you're eligible to receive in unemployment benefits. (The base period varies by state.)

3) Did you lose your job through no fault of your own?

This is key. If you quit your job because you didn't like the hours thinking you could simply sit back and collect unemployment, you're out of luck. Similarly, if you were terminated after repeated warnings about your poor performance, you may not be eligible. If, however, you were laid off or fired through no fault of your own, you could qualify for benefits.

4) Are you able and willing to work again right now?

If you're too sick or injured or unable to actively seek work right now, you're probably not going to qualify. You must be willing to work and actively seeking it when collecting unemployment.